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Air Lease (AL) to Report Q2 Earnings: What's in the Cards?

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Air Lease Corporation (AL - Free Report) is scheduled to report second-quarter 2023 results on Aug 3, after market close.

Air Lease has outperformed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 10.65%.

Let’s see how things have shaped up for Air Lease this earnings season.

Q2 Expectations

The Zacks Consensus Estimate for Air Lease’s second-quarter 2023 revenues is pegged at $657.68 million, indicating growth of 17.93% year over year. The top line is likely to have benefited from continuous growth in the company’s fleet.

The Zacks Consensus Estimate for second-quarter revenues of rental of flight equipment is pegged at $629 million, indicating 15.4% growth from the year-ago reported figure. Our estimate indicates growth of 15.2% year over year.

The Zacks Consensus Estimate for aircraft sales, trading activity and other sources’ second-quarter revenues is pegged at $16.44 million, indicating 32.3% growth from the year-ago reported figure. Our estimate indicates growth of 64.5% year over year.

However, escalating operating expenses due to higher interest expenses and depreciation of flight equipment costsmight be a concern forAir Lease’sbottom line in the second quarter. The Zacks Consensus Estimate for AL’s second-quarter 2023 earnings has been revised downward by 8.4% in the past 90 days.

What Our Model Says

Our proven model does not conclusively predict an earnings beat for Air Lease this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Air Lease has an Earnings ESP of -1.74% and a Zacks Rank #3.

Air Lease Corporation Price and EPS Surprise

Air Lease Corporation Price and EPS Surprise

Air Lease Corporation price-eps-surprise | Air Lease Corporation Quote

Highlights of Q1

Air Lease reported first-quarter 2023 earnings per share of $1.06, which surpassed the Zacks Consensus Estimate of $1.00 but declined on a year-over-year basis. Total revenues of $636.1 million outpaced the Zacks Consensus Estimate of $633.5 million and jumped 6% year over year.

Stocks to Consider

Here are a few stocks from the broader Zacks Transportation sector that investors may consider, as our model shows that these have the right combination of elements to beat on their second-quarter 2023 earnings:

Allegiant Travel Company (ALGT - Free Report) has an Earnings ESP of +2.69% and a Zacks Rank #2. ALGT will release results on Aug 2. You can see the complete list of today’s Zacks #1 Rank stocks here.

ALGT has an expected earnings growth rate of more than 100% for second-quarter 2023. ALGT delivered a trailing four-quarter earnings surprise of 79.78%, on average.

The Zacks Consensus Estimate for ALGT’s second-quarter 2023 earnings has been revised upward by 57.8% in the past 90 days.

Copa Holdings, S.A. (CPA - Free Report) has an Earnings ESP of +0.82% and a Zacks Rank #3. CPA will release results on Aug 9.

Copa Holdings has an expected earnings growth rate of more than 100% for second-quarter 2023. CPA delivered a trailing four-quarter earnings surprise of 14.60%, on average.

The Zacks Consensus Estimate for CPA’s second-quarter 2023 earnings has been revised upward by 94% in the past 90 days.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.


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